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The intangible assets section of Cheyenne Corporations balance sheet at December 31, 2017, is presented here. Patents ($71,000 cost less $8,000 amortization) $63,000 Copyrights ($54,500

The intangible assets section of Cheyenne Corporations balance sheet at December 31, 2017, is presented here.

Patents ($71,000 cost less $8,000 amortization)

$63,000

Copyrights ($54,500 cost less $43,400 amortization)

11,100

Total

$74,100

The patent was acquired in January 2017 and has a useful life of 10 years. The copyright was acquired in January 2011 and also has a useful life of 10 years. The following cash transactions may have affected intangible assets during 2018.

Jan. 2 Paid $27,000 legal costs to successfully defend the patent against infringement by another company.
Jan. June Developed a new product, incurring $249,000 in research and development costs. A patent was granted for the product on July 1, and its useful life is equal to its legal life. Legal and other costs for the patent were $10,000.
Sept. 1 Paid $47,000 to a quarterback to appear in commercials advertising the companys products. The commercials will air in September and October.
Oct. 1

Acquired a copyright for $237,000. The copyright has a useful life and legal life of 50 years

1.) Prepare journal entries to record the transactions.

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